IPO-bound food delivery platform Swiggy has revealed that a former junior employee allegedly embezzled over ₹33 crore from one of its subsidiaries.
Swiggy, a competitor of Zomato, launched an investigation with an external team and filed a legal complaint against the individual whose identity was not disclosed in its annual report for the financial year 2023-24, IANS reported.
"The Group, during the current year, identified embezzlement of funds in one of the subsidiaries by a former junior employee amounting to INR 326.76 Mn over the past periods.," the annual report mentioned.
Swiggy has revealed that a former junior employee allegedly embezzled over ₹33 crore from one of its subsidiaries. The company, preparing for its IPO, initiated an investigation with an external team and has filed a legal complaint against the unnamed individual.
The financial report for the fiscal year 2023-24 highlights this significant fraud, prompting concerns about corporate governance. Despite posting a net loss of ₹2,350 crore in the last fiscal year, Swiggy reduced its losses by 44% from the previous year. The IPO plans include raising up to ₹10,414 crore.
Swiggy's revenue grew 36% to ₹11,247 crore in FY24, up from ₹8,265 crore the previous year. The company’s gross order value (GOV) reached $4.2 billion, marking a 26% increase year-on-year, with monthly transacting users at approximately 14.3 million.
The financial report also noted significant improvement in profitability, attributing it to the completion of peak investments in Instamart and continued rapid business growth.
Also Read: Swiggy launches ‘private ordering’ for food delivery and Instamart—here is how to enable it
On Friday, on-demand convenience platform Swiggy announced the launch of an industry-first Incognito Mode, PTI reported. This new feature allows users to place orders privately across food and quick commerce, ensuring that these transactions do not appear in the app's history.
Ideal for planning surprises, personal indulgences, or discreet purchases, Incognito Mode eliminates the need to delete order history manually.
(With inputs from agencies)
